India’s garment exports, which are mostly directed towards the US and Europe may get a big market in Japan, as the two countries are set to sign a free trade agreement (FTA) in January. The Comprehensive Economic Partnership Agreement (CEPA) is expected to come into force from April, an official said. “Japan needs an approval from Diet (Parliament) Committee of the Legislation for the agreement, which they will get soon. India is ready with all the approvals. In January, it (FTA) will be signed,” he said.
The CEPA will reduce or eliminate tariffs on over 90 per cent of the $10.4 billion bilateral trade in merchandise. “The new financial year of both the countries starts from April, 1, so most likely it will come into force from that date,” the official said.
